HONG KONG, July 25, 2013 – According to the jobsDB( http://hk.jobsdb.com/hk ) Q2 2013 Hiring Index, 59% of Hong Kong employers intend to hire staff in the coming three months and 31% plan to hire fresh graduates. The average monthly salary they plan to offer to university graduates is HK$12,778, a 5.4% increase over last year. Among employers who hired fresh graduates in the last three years, about half of them (48%) said the turnover rate of fresh graduates is 50% or above.
jobsDB Q2 2013 Hiring Index is based on an online survey conducted in July 2013 to gather information on hiring intentions, fresh graduate employment and turnover. A total of 124 companies participated in the survey.
31% of employers plan to recruit fresh graduates
jobsDB Q2 2013 Hiring Index reveals that 59% of Hong Kong employers intend to hire staff in the coming three months, same as Q1 2013. With the arrival of graduation season, 31% of employers plan to hire fresh graduates this year and 95% of them will hire university graduates. In terms of positions to be hired, 37% said they have vacancies for Sales, CS & Business Development, followed by Admin & HR (18%), Accounting and IT (16%).
Mr. Justin Yiu, General Manager of jobsDB Hong Kong, says, “The overall hiring pace is expected to keep steady in the third quarter. Due to uncertainties in the external economic environment, we see an increase of 4% in the number of employers who intend to freeze head count compared with the last quarter. As employers have not regained business confidence, the hiring intentions for fresh graduates show a slight decline. Last year we saw a higher percentage of employers (37%) who said they would hire fresh university graduates. Amid a cautious hiring climate, the demand for revenue-generating positions that require sales and business development skills is still high.”
Fresh graduate income forecast to increase
Despite career market uncertainties, the income of fresh graduates is forecast to increase. Employers who intend to hire fresh graduates in the coming three months plan to offer an average monthly salary of HK$9,648 for non-degree holders and HK $12,778 for degree holders. When compared with the average monthly salary offered by employers who hired fresh graduates in the past 12 months, this year’s salary is projected to increase by 4.8% and 5.4% respectively.
Education Level Average Salary Predicted average
for 2012 salary for 2013
(HK$) (HK$) Change
or below $9,204 $9,648 +4.8%
or above $12,125 $12,778 +5.4%
Justin Yiu comments, “In these few years, the salary of young graduates has not kept pace with high inflation and it is reported that the income gap between university graduates and low-skilled workers has decreased. As a result, graduates are likely to have higher salary expectation this year. To recruit competent graduates, employers may need to provide competitive salary packages, especially for industries facing staff shortages. ”
Half of employers report graduate turnover rate of 50% or up
Among employers who hired fresh graduates in the last three years, about half of them (48%) said the turnover rate of fresh graduates is 50% or above. 34% of employers said the average length of service is three to twelve months and 17% said the average is below three months. The most common reasons for leaving are “Better opportunities available” (68%), “Unsuitable job nature” (40%) and “Not satisfied with salary and benefits” (29%).
Justin Yiu adds, “Many people have expressed concern about the issue of job hopping of the post-90s generation. I think the reason for young people to switch jobs frequently is that they are not aware of the importance of career planning. Many of them don’t have a clear idea of the duties and prospect of the job position they applied for. Once they take up a job, they start to realise that the actual work environment does not match their expectation. In such cases, they tend to change jobs until they think they find the right one. To avoid taking the wrong path, I recommend youngsters to assess their interests and abilities before making a career choice. They should also try to search for internship opportunities to get a better understanding of the workplace.”
The jobsDB Q2 2013 Hiring Index is available at http://hk.jobsdb.com/hk/en/staticcontent/hiring-survey/2013/Q2-hiring-index/home.htm.
Source: JobsDB, 2013